CRETE, Ill., August 28, 2012 -- Demonstrating its energy market expertise, GE unit (NYSE: GE) GE Energy Financial Services has served as lead arranger of an approximately $107 million senior secured credit facility for two Illinois gas-fired peaker plants, managed by Tenaska Capital Management, LLC (TCM), an affiliate of Tenaska, one of the largest U.S. independent power producers. The transaction will allow TCM to refinance debt facilities for the plants, which use 12 GE 7EA gas turbines and are located in Crete and Manhattan.
GE Energy Financial Services' affiliate, GE Capital Markets, Inc., acted as sole lead arranger for the credit facilities---a four-year term loan and four-year revolver---and was joined by Credit Agricole Corporate and Investment Bank, Helaba Landesbank Hessen-Thüringen and Union Bank, N.A. Additional financial details were not disclosed.
The 656-megawatt Lincoln Generating Facility and 328-megawatt Crete Energy Venture Facility are owned by a private equity investment vehicle managed by TCM. Lincoln and Crete began commercial operations in June 2000 and May 2002 respectively. The facilities provide capacity to meet peak electricity demand in the PJM ComEd service territory.
"Our expertise in merchant power and ability to provide energy sponsors with substantial capital commitments sets us apart from our institutional competitors," said Matt O'Connor, Managing Director at GE Energy Financial Services.
This transaction expands GE Energy Financial Services' and Tenaska's relationship. In 2007, the GE unit provided $25 million in acquisition financing for the acquisition of the Lincoln and Crete power plants from affiliates of ArcLight Capital Partners LLC, DTE Energy Services Inc. and Tyr Capital, LLC.
As a lender to middle market companies, or businesses with revenues between $10 million and $1 billion, GE Capital is the largest lender in the United States. In 2011, GE Capital committed over $122 billion in middle market funding in North America.
GE Energy Financial Services holds equity investments in power projects with a combined capacity of 30 gigawatts, equivalent to the installed generating capacity of Norway. The GE unit offers flexible financial structures ranging from common and preferred equity to debt and acquisition finance.
About GE Energy Financial Services
GE Energy Financial Services---GE's energy investing business---works as a builder, not just a banker, to help meet the world's power and fuel needs. We offer more than money---expertise---for essential, long-lived and capital-intensive power, oil and gas infrastructure---GE's core business. Drawing on GE's energy technical know-how, financial strength and risk management, we see value where others don't and take on our customers' toughest challenges with flexible equity and debt transaction structures. Based in Stamford, Connecticut, GE Energy Financial Services holds an approximately $20 billion global energy portfolio. More information: www.geenergyfinancialservices.com
About GE
GE (NYSE: GE) works on things that matter. The best people and the best technologies taking on the toughest challenges. Finding solutions in energy, health and home, transportation and finance. Building, powering, moving and curing the world. Not just imagining. Doing. GE works. For more information, visit the company's website at www.ge.com.
Andy Katell
GE Energy Financial Services Senior Vice President Communications
[email protected]
1-203-961-5773